Campos Neto says Central Bank’s autonomy would be tested by the Lula da Silva government

The Central Bank (BC) president, Roberto Campos Neto, said he will remain in command of the monetary authority until Dec. 2024, when his first mandate ends.

He said the Central Bank’s autonomy would be tested by the government of Luiz Inácio Lula da Silva (PT, left).

He participated this Wednesday (Nov. 23) in the event of BlackRock Brazil, an investment management and financial services company, in São Paulo.

Campos Neto arrived this Wednesday morning (Nov. 23) from Mexico, where he participated in events with investors and IMF (International Monetary Fund) authorities.

According to him, the independence of the Central Bank is very “recent”.

The text that enabled the autonomy of the monetary authority was sanctioned in February 2021 by President Jair Bolsonaro (PL, right).

Campos Neto declared that autonomy is not administrative and financial but operational.

He said it is not a “complete autonomy”, as it “was designed by my grandfather back there”.

The president of the Central Bank is the grandson of former economist Roberto Campos, who idealized the monetary authority’s independence in 1967.

He declared that the autonomy would be “tested” by the new government. “This is the first time we are going through a different government,” he declared.

The president of the Central Bank also said that it is important that the leaders of the monetary authority understand that they have to fulfill their mandates and “exercise” their autonomy.

“And, in this case, that extends to me as well. It is important that I stay these 2 years and that I show that, in fact, all the effort that was made, the support of the people, the support of Congress, and the support of the STF [Federal Supreme Court] to this movement of institutional gain that serves for moments of transition of governments,” declared Campos Neto.

The president of the Central Bank has already shown himself to be against reappointment to the post to give more institutional independence.

He could stay until Dec. 2028 if he is nominated again to command the Central Bank.

Poder360 found out that Lula da Silva is considering inviting Campos Neto to be Finance Minister.

Lula will nominate two names for the Central Bank board in February 2023, the second month of Lula’s mandate.

With information from Poder360